Dollar Tree acquires rights to 99 Cents Only stores; SoCal locations could soon reopen
Will Dollar Tree Revive 99 Cents Stores?
Dollar Tree has acquired the rights to 170 former 99 Cents Only stores across Arizona, California, Nevada, and Texas, with a significant number in Southern California. This move follows the closure and bankruptcy of 99 Cents Only due to the pandemic, changing consumer demands, and inflation. Dollar Tree's acquisition, surprising given its own recent closures, aims to expand its presence in key markets.
How many 99 Cents Only stores' locations did Dollar Tree acquire across Arizona, California, Nevada, and Texas?
Dollar Tree acquired the rights for 170 locations of 99 Cents Only Stores across Arizona, California, Nevada, and Texas. The deal to acquire the leases to the stores was completed through two transactions in May. This acquisition comes as part of Dollar Tree's accelerated growth strategy, allowing them to secure leases in priority markets with strong growth potential6.
What was the reaction of the market or consumers to the liquidation sales of 99 Cents Only stores?
The reaction to the liquidation sales of 99 Cents Only stores was marked by quickly emptied shelves, indicating a strong consumer turnout and purchasing activity. This response suggests that customers took advantage of the reduced prices and the opportunity to buy products at significant discounts as the stores cleared out their inventory. The high level of consumer engagement during these sales reflects the typical behavior where shoppers seek to capitalize on lower prices in closing sales, despite the underlying reasons for the store closures such as bankruptcy and economic challenges faced by the company2.